2 years ago - 3 minute read
Two weeks ago we launched Fronted. To bring you up to speed...
A few weeks ago, we got authorised by the FCA. We put the final touches on the product, and... we launched! making our first Fronted Deposit that day. It is quite humbling to see people coming to us with the dream of moving and knowing that we have, in some way, helped them to take that step into a new home.
Launching is a great milestone, but it just means that we have arrived at The Big Game. Now it is time to stretch off and start playing. As hard as it is to plan or have a fixed roadmap at this stage - in reality, we will just be responding to whatever our customers tell us they want - I’m excited to share what you can expect from the team behind Fronted.
For renters still looking for a property… renters can get approved for a rent deposit from us up to 30 days before they need to pay their deposit - plenty of time to shop around and find their dream place, not just one ‘that will do’.
For renters who have found a place… they could get a Fronted Deposit paid to their estate agent within 24hours.
Instead of paying a deposit upfront, renters split the deposit over 12 months. 12.5% fixed interest with no early repayment fees (very cost-effective if you are bridging between deposits!)* After the Fronted Deposit has been paid off, the money in the Deposit Protection Scheme belongs to the renter. It’s theirs to keep.
There are three parts that I think we will focus on in the near future:
While we’ve made the experience slick for people who know their new property’s deposit amount, we want to make the experience better for renters who are still in the midst of their property search. These renters are coming to Fronted to see how much they can be approved for, and using this ‘deposit in principle’ in their property search. Here are two insights.
The other part of the journey is sending the deposit money. It’s a crucial step in the journey so it needs to be simple and secure. We don’t send money to tenants’ bank accounts, we send it directly to the agent which means there is an unusual step where we collect the details of the agent. But some renters rent directly from landlords - and right now, some of our approved customers are turning down viewings because we don’t work with landlords. Two highlights are:
Currently, it takes us a long time to underwrite our deposits. Mainly because we are still in the learning phase of our business. I’m happy that we are taking the time to learn about the customers coming to Fronted, but eventually, we will have to speed up the process. We can handle about twenty applications per day at the moment but we want to be able to manage 1000 per day. That presents a serious(ly cool) challenge.
...but it’s time for me to go back to customer service.
*Representative example: Amount of credit: £1,100. Term: 12 months. Repayments: 11 monthly payments of £97.26 and one final payment of £97.24. Total amount payable: £1,176.10. Representative APR 12.50%. No fees.
2 years ago - 3 minute read
Fronted is a trading name of Fronted Holding Ltd. We are registered in England and Wales (Company No.12278750), registered office address is Fronted, The Fisheries, 1 Mentmore Terrace, London, E8 3PN. Fronted Loans Ltd (Company No.12307305) is authorised and regulated by the Financial Conduct Authority under a Consumer Credit Licence (FCA No. 933316). Fronted Ltd (Company No.12304059) is authorised and regulated by the Financial Conduct Authority under a Broker Licence (FCA No. 933317).
Fronted Loans Ltd and Fronted Ltd is a wholly owned subsidiary of Fronted Holding Ltd. We are part of the FCA regulatory sandbox - Cohort 6. The regulatory sandbox allows firms to test innovative offerings in a live environment. More information on the FCA's regulatory sandbox can be found here.
Made with ❤️ and ☕️ in London